Huawei Technologies Ltd., one of the world's biggest makers of telecommunications equipment, said on Tuesday that its profit for 2014 grew 32.7%.

The Chinese multinational also reported a net profit of $4.5 billion. Revenue of the company rose 20.6% to $ 46.5 billion last year.

The Shenzhen-based company its sales are expected to grow by 10% for the next three to five years, as it continues to expand internationally.

In total its China sales grew 31.5% to 108.9 billion yuan, or 37.8% of its revenues. On the other hand its sales in Europe Middle east and Africa increased 35% to 101 billion yuan.

Chief Executive Ren Zhengfei in January at the World Economic Forum in Davos said that the company is looking forward to Europe for future growth.

Ren, who founded Huawei in 1987 after retiring from the Chinese military in 1983, said Huawei had no pressure to expand into the United States, where it faces spying concerns.

As per experts, Huawei's consumer businesses registered strong growth, bolstered by popular smartphone models such as the Honor series.

It has been found that company's revenue from the consumer business group increased by nearly 32.6% to $12 billion in the previous year.

The company in March also launched its very first smart watch ahead of the Mobile world congress in Barcelona.

Further it hopes to capture a slice of the high-end wearable devices market with the 1.6 inch luxury watch.

Huawei is also investing in fifth generation mobile networks. It also said that it would allocate at least $ 600 million to 5G research and development.